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transfers of appropriative right, they impose a five-year non-use period,
then if the right is not used it is up for another appropriator to say they
need it. Then the State Water Resources Control Board (SWRCB) would
have a hearing to determine whether there is non-use, whether the five-
year rule may apply or whether there are any factors to extend the five-
year rule.
Everyone has correlative rights for the benefit of sharing the basin, and
it is all subject to beneficial usage. Using that as guidance, the five-year
rule is something the Committee may want to consider including these
types of contract terms in transfers in the future.
Mr. Montoya advised that although there is no hard and fast rule, the
Committee must be mindful of this area of equitable consideration.
Regarding the example of Oak Valley, YVWD is beginning to perfect
some rights but if there is indication of activity on the project and the
rights may be perfected in time, law would say that if the equitable
evidence is convincing then they should be provided additional time.
For accounting purposes, Counsel Montoya suggested a column of
quantity transferred and a column of perfected appropriative rights (the
date it is put to use).
Member Jorritsma asked about specification of certain parcels. Mr.
Montoya said he believes it is not meaningful that the water must go to
a particular parcel. Member Jaggers asked for clarification of “beneficial
use.” Counsel Montoya stated that case law defines beneficial use as
when it is actually perfected and applied to beneficial use. Chairman
Vela suggested it could be perfected when the meter is dropped in the
box. Member Jaggers pointed out the landscape of water use is changing
with recent bills to reduce water supply both outdoors and indoors.
BCVWD will be using a conservative approach to analyze water use to
avoid coming up short. If not accurately accounted for, that may provide
an opportunity for agencies to question. Counsel Montoya concurred,
noting the perfection is upon completion of the last act, which is
application of water to a beneficial use in the amount that is equivalent
to the maximum quantity actually put to a beneficial use. Therefore, if
water remains in the appropriative column for a time that is deemed by
parties to be too long before it is actually perfected and vests, then other
appropriators can say they want some of that water.
Member Jaggers shared an example of a developer holding more overlier
right than the District believes necessary for their project. Mr. Montoya
indicated he believes the District could make a deal with the developer
to take all the overlying right as the property has other potential uses,
which must be accounted for. If the uses do not come to fruition over a
period, other appropriators could say those unperfected rights may be
put to beneficial use now. Jaggers suggested a concept that the
unconsumed appropriative right goes into a pool, which would then be
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